Case Note & Summary
The case arises from a land acquisition for laying a pipeline and service road in Raia and Nuvem, Salcete taluka, Goa. The Government of Goa issued a notification under Section 4 of the Land Acquisition Act, 1894 on 19/10/1986, published on 20/11/1986, acquiring 1550 sq.metres of land bearing survey no.360 in village Raia belonging to the respondent, V.M. Salgaonkar and Brothers Ltd. The Land Acquisition Officer made an award on 31/5/1989 fixing the market rate at Rs.10 per sq.metre. The respondent sought a reference under Section 18, claiming Rs.50 per sq.metre, along with damages for loss of 24 cashew trees (Rs.7,135), damage to a 40-metre rubble wall (Rs.2,800), injurious affection to the northern part (Rs.60,000), and severance of a 40 sq.metre triangular piece (Rs.2,000). In Land Acquisition Case No.165 of 1994, the Reference Court (Additional District Judge, South Goa, Margao) examined four witnesses for the claimants: M.K. Kavlekar (AW.1), Sakaram Bende (AW.2, expert), Jerry Fernandes (AW.3, who executed a sale deed on 16/3/1985), and Vikas Dessai (AW.4, expert). The appellant (Special Land Acquisition Officer) did not lead any evidence. The Reference Court fixed the market rate at Rs.35 per sq.metre, rejected the claim for loss of trees, granted Rs.792 for the rubble wall, rejected the Rs.60,000 claim for injurious affection, and held that the claimants were entitled to severance charges without quantifying the amount. The appellant appealed, arguing that the Reference Court erred in relying on sale deed Exhibit AW3/A without evidence of its comparability, and that the award of unquantified severance damages was improper. The High Court of Bombay at Goa, per Justice A.P. Lavande, partly allowed the appeal. It held that the sale deed relied upon was not comparable as no evidence was led about its nature, location, or distance from the acquired land; thus, the market value of Rs.35 per sq.metre was not sustainable. Considering the evidence of an expert (AW.2) who valued the land at Rs.25 per sq.metre based on comparable sales, the court reduced the market rate to Rs.25 per sq.metre. The court also set aside the award of severance damages without quantification and remanded that issue to the Reference Court for proper quantification. The appeal was partly allowed with no order as to costs.
Headnote
A) Land Acquisition - Market Value Determination - Comparability of Sale Deeds - Land Acquisition Act, 1894, Sections 4, 18, 23 - The Reference Court relied on a sale deed (Exhibit AW3/A) without evidence of its nature, location, or distance from the acquired land, which is insufficient to determine market value. Held that the sale deed must be comparable in terms of time, location, and potential; the court erred in fixing Rs.35 per sq.metre. (Paras 5-7) B) Land Acquisition - Severance Damages - Quantification - Land Acquisition Act, 1894, Section 23 - The Reference Court held that the claimants were entitled to severance charges but failed to quantify the amount. Held that such an award is incomplete and cannot be sustained; the matter remanded for quantification. (Paras 4, 8) C) Land Acquisition - Injurious Affection - Claim for Damages - Land Acquisition Act, 1894, Section 23 - The Reference Court rejected the claim for Rs.60,000 for injurious affection to the northern part of the land. Held that the rejection was proper as no evidence was led to support the claim. (Paras 3-4)
Issue of Consideration
Whether the Reference Court erred in fixing the market value of acquired land at Rs.35 per sq.metre based on a sale deed without proper evidence of comparability, and whether the award of severance damages without quantification was proper.
Final Decision
Appeal partly allowed. Market value of acquired land reduced from Rs.35 per sq.metre to Rs.25 per sq.metre. Award of severance damages without quantification set aside and matter remanded to Reference Court for quantification. No order as to costs.
Law Points
- Land Acquisition Act
- 1894
- Section 4
- Section 18
- Section 23
- Section 24
- market value determination
- comparability of sale deeds
- burden of proof
- severance damages
- injurious affection
